Counterparty Litigation: When It Signals Risk and When It Is Normal Business
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... our work on joint projects assured us of your high level of professionalism
You are reviewing a potential partner and come across a list of court cases: fifteen lawsuits over the last three years. Your immediate instinct is to close the tab and look for another vendor.
Then a colleague remarks, "That's completely normal—large businesses are always in litigation." Now you hesitate in the opposite direction, wondering if it truly means nothing and whether you should simply sign the agreement as planned.
Both reactions are equally impulsive and equally dangerous. Passing on a strong partner over a single court record can cost you a lucrative deal. Conversely, ignoring dozens of repetitive claims on the assumption that "everyone does it" can prove far more expensive.
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